factual

What documents should I review to understand the franchise relationship with Christian Brothers Automotive?

Christian_Brothers_Automotive Franchise · 2025 FDD

Answer from 2025 FDD Document

To simplify the language in this Disclosure Document the words "Franchisor," "CBAC," "CBA," "Christian Brothers," "we," "our" and "us" refer to Christian Brothers Automotive Corporation, the franchisor. "You", "Your", "Principal Operator" and "Franchisee" refer to the person or entity who is licensed to operate the franchise. To fully understand all of your and our rights and obligations to each other, you must still carefully review the actual agreements that you will sign. In the event there is any dispute between us, these agreements will control.

The Franchisor, and any Parents, Predecessors, and Affiliates

FRANCHISEE DISCLOSURE ACKNOWLEDGMENT STATEMENT

Do not sign the Acknowledgment Statement if you are a resident of California, Maryland or Washington or the business is to be operated in California, Maryland or Washington.

As you know, Christian Brothers Automotive Corporation (the "Franchisor") and you are preparing to enter into a franchise agreement (the "Franchise Agreement") for the establishment and operation of a Christian Brothers Automotive Corporation franchise ("CBAC franchise"). The purpose of this Questionnaire is to determine whether any statements or promises were made to you by employees or authorized representatives of the Franchisor, or by employees or authorized representatives of a broker acting on behalf of the Franchisor ("Broker") that have not been authorized, or that were not disclosed in the Franchise Disclosure Document or that may be untrue, inaccurate or misleading. The Franchisor, through the use of this document, desires to ascertain (a) that the undersigned, individually and as a representative of any legal entity established to acquire the franchise rights, fully understands and comprehends that the purchase of a franchise is a business decision, complete with its associated risks, and (b) that you are not relying upon any oral statement, representations, promises or assurances during the negotiations for the purchase of the franchise which have not been authorized by Franchisor. This acknowledgment does not waive any liability the franchisor may have under the Washington Franchise Investment Protection Act, RCW 19.100, and the rules adopted thereunder.

This Disclosure Document summarizes certain provisions of the franchise agreement and other information in plain language. Read this Disclosure Document and all agreements carefully.

If Christian Brothers Automotive Corporation ("CBAC") offers you a franchise, it must provide this Disclosure Document to you 14 calendar-days before you sign a binding agreement with, or make a payment to, the franchisor or an affiliate in connection with the proposed franchise sale. New York and Rhode Island require that CBAC provides you with this Disclosure Document at the earlier of the first personal meeting or ten business days before you sign a binding agreement with, or make payment to, CBAC or one of its affiliates in connection with the proposed sale. Michigan requires that CBAC provide you with this Disclosure Document ten business days before you sign a binding agreement with, or make payment to, CBAC or one of its affiliates in connection with the proposed sale.

Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 59–62)

What This Means (2025 FDD)

According to the 2025 Christian Brothers Automotive Franchise Disclosure Document, it is crucial to carefully review all agreements you will sign to fully understand your and Christian Brothers Automotive's rights and obligations. The FDD itself summarizes certain provisions of the franchise agreement and other information. In case of any dispute, the actual agreements signed will take precedence.

Specifically, Christian Brothers Automotive requires that you and the franchisor prepare to enter into a franchise agreement for establishing and operating a Christian Brothers Automotive franchise. Before signing any agreement, carefully consider the Franchisee Disclosure Acknowledgment Statement to confirm that you are not relying on any unauthorized statements or promises made during negotiations. This statement ensures that you acknowledge the purchase of a franchise is a business decision with associated risks and that you are not depending on any oral representations not authorized by Christian Brothers Automotive.

Additionally, Exhibit J-2 Receipt indicates that Christian Brothers Automotive must provide the Disclosure Document to you 14 calendar days before you sign a binding agreement or make a payment. New York, Rhode Island, and Michigan have specific requirements regarding when the Disclosure Document must be provided. This Disclosure Document contains important information, and any false or misleading statements should be reported to the Federal Trade Commission and the relevant state agency.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.